The inevitability of shrinking server infrastructure as Cloud matures


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According to both Gartner and IDC worldwide server market revenue has fallen by up to 5%, with major server manufacturers taking a hit. The figure doesn’t appear big but the impact and shift to Cloud is starting to make its mark. But the biggest shifts will be taking place further in the future as organizations move to downsize their infrastructure and run their business on smaller IT footprints.

The server market figures might actually be a blip for the following reasons;

  • Firms move towards server farms hosted by a third party, reducing spend internally on larger IT assets but large farms still require these assets so spend will level out
  • Hardline negotiations are taking place where once server OEMs had a business by the short and curlies, orgs now have a number of choices at their disposal

But the biggest trend shift will happen not in the size of the revenue but the physical size of kit required by businesses internally. I posted a quirky article on Successful Workplace which suggested that all you’d need to run a business was a box the size of an OUYA.


What if a box as small as Ouya was all you needed to run your business ?

Mainframe is becoming extinct.

Software is becoming leaner, faster.

Cloud is digitally pervasive.

In-Memory data and parallel processing across an Internet of Things will be a reality.

Startup businesses are becoming leaner, more agile.

And all you’d need to run it all is a 3x3x3 inch cube.

As companies embrace Cloud, whether in full or hybrid, the likelihood of massive IT spend on server hardware becomes more in question and in reality OEMs need to move with this. The logical way is to start downsizing the physical requirements of server technology to almost a slave unit as the majority of heavy lifting for an organization is done by the Cloud provider.

The worldwide server market isn’t dying on its feed because of Cloud, it’s just going to undergo a radical change in configuration. Which means both hardware and software has to change with it.

And the tiny box sitting under your TV might just be pointing to the future of infrastructure in a few years time.

Republished with author's permission from original post.

Theo Priestley
Theo Priestley is Vice President and Chief Evangelist at Software AG, responsible for enabling the marketing and voice of the industry's leading Business Process, Big Data/ In-Memory/ Complex Event Processing, Integration and Transaction suite of platforms. Theo writes for several technology and business related sites including his own successful blog IT Redux. When he isn't evangelizing he's playing videogames, collecting comics and takes the odd photo now and then. Theo was previously an independent industry analyst and successful enterprise transformation consultant.


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